Xstrata shareholders snub board

Comment on this story
Xstrata REUTERS A logo of the Swiss mining company Xstrata is shown at the headquarters in Zug September 7, 2012.

Xstrata's shareholders did not pass a first resolution that would have approved a $31 billion takeover by trader Glencore, subject to a controversial retention package, as not enough investors heeded a recommendation from the miner's board.

Only 67.8 percent of shareholders voted in favour of the first of two resolutions on the tie-up - short of the necessary 75 percent threshold.

Shareholders, at a meeting in the Swiss town of Zug, are now set to vote on a second resolution, deciding whether or not to approve the deal without the “golden handcuffs” plan to retain key Xstrata managers. This is expected to pass.

The retention plan itself will be voted on separately.

Earlier on Tuesday, Glencore shareholders overwhelmingly backed the deal. - Reuters

sign up

Comment Guidelines

  1. Please read our comment guidelines.
  2. Login and register, if you haven’ t already.
  3. Write your comment in the block below and click (Post As)
  4. Has a comment offended you? Hover your mouse over the comment and wait until a small triangle appears on the right-hand side. Click triangle () and select "Flag as inappropriate". Our moderators will take action if need be.

  5. Verified email addresses: All users on Independent Media news sites are now required to have a verified email address before being allowed to comment on articles. You are only required to verify your email address once to have full access to commenting on articles. For more information please read our comment guidelines